What is a joint process, and what is the difference between a by-product and a main product? How are joint costs allocated? What factors are considered in choosing a joint cost allocation method?

Q1: What is a joint process, and what is the difference between a by-product and a main product?

Q2: How are joint costs allocated?

Q3: What factors are considered in choosing a joint cost allocation method?

Q4: What information is relevant for deciding whether to process a joint product beyond the split-off point?

Q5: What methods are used to account for the sale of by- products?

Q6: How does a sales mix affect joint cost allocation?

Q7: How do joint cost allocations affect decisions and managerial incentives?